PARRIS N. GLENDENING, Governor                             S.B. 520

President of the Senate
State House
Annapolis MD 21401

Dear Mr. President:

In accordance with Article II, Section 17 of the Maryland Constitution, I have today
vetoed Senate Bill 520.

This bill provides that a credit grantor of an open end credit plan secured by real property
may charge an origination fee not to exceed two percent of the initial advance made
under the plan.

House Bill 988, which was passed by the General Assembly and signed by me on May 14,
1996, accomplishes the same purpose. Therefore, it is not necessary for me to sign Senate
Bill 520.

Sincerely,

Parris N. Glendening

Governor

Senate Bill No. 520

AN ACT concerning

Credit Regulation - Revolving Credit Plan - Origination Fees

FOR the purpose of authorizing a credit grantor of an open end credit plan that is
secured by real property to charge an origination fee not to exceed a certain
percentage of the initial advance made under the plan; and generally relating to
secured open end credit plans.

BY repealing and reenacting, with amendments,
Article - Commercial Law
Section 12-905(b) and (e)
Annotated Code of Maryland
(1990 Replacement Volume and 1995 Supplement)

BY adding to

Article - Commercial Law

Section 12-905(g)

Annotated Code of Maryland

(1990 Replacement Volume and 1995 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Commercial Law

12-905.

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